Action–Defined

One of the most important discoveries in 20th century thought has been the central role of the actions that you take.  An action is defined as something with a consequence.  Using this definition, even an inaction can be considered to be an action, because inaction, or a failure to act on your part, has a consequence that can dramatically impact your life.

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For example, a person who fails to finish school, or fails to read regularly, or to listen to audio tapes and take additional training, is committing to what you might call an “inaction.”  But because it has devastating consequences on the future for that person, it can be considered an action as well.

The most important actions that you take in determining the quality of your life revolve around the virtues and values that you decide to embrace and live by.  They are as important to your life as breathing in and breathing out.  The fact is that everything that you do is largely determined by what you feel to be good and right and true about life and people-your values!

When you are living consistent with your values, you feel good about yourself.  When you are living inconsistent with your values, you feel badly about yourself.

Be Happy and Feel Good

Aristotle, perhaps the greatest of all the philosophers, broke new ground in thinking when he determined that all of human action is aimed at achieving the happiness of the individual.  He said that we are all the same in this one respect.  We all seek happiness, however we define it.  Everything you do is merely a step in the direction of achieving the ultimate happiness you seek. Aristotle did not stop there.  He went on to point out that only the good can be happy, and only the virtuous can be good.  Therefore, all happiness is determined by the ability of the individual to establish and live by values and virtues that are life enhancing.

From the earliest days of civilization, the purpose of an education was to instill values into the character of the young.  For the first 200 years of American historical development, it was understood that the purpose of the schools was to teach values and the purpose of the home was to teach religion.  Young people were instructed by reading the stories, poems and plays of men and women in previous time periods who most demonstrated and illustrated the values by which that person should live if a person wanted to have a happy life.

Aristotle went on to point out that, if you have been brought up without clear values, you can develop values by deciding upon the kind of person you want to be and then by acting as if you had the values that that person would have.

Sculpt Your Life and Your Future

The wonderful thing about being a human being is that you are free to shape and sculpt your own character.  You can make new choices and decisions at any time of life, especially with regard to your values, and begin acting as if you had those values already.

Perhaps the measure essence of happiness is your ability to achieve the three common goals of self-respect, self-esteem and personal pride that everyone wants.  It is only when you have these three in sufficient quantities that you feel really good about yourself.

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When we talk about “selling people on your ideas”, many people feel a little uneasy.  They think to themselves that this cannot really apply to them because they are not really in sales.  But this is silly.

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You see, everyone is in sales.  Everyone sells something to someone under some conditions.  From the time you are an infant and you begin selling your parents on the idea of changing your diapers or, getting you a bottle or rocking you to sleep, you are in sales.  Your buying power as a child are your smiles and sweetness on the one hand, and your crying and screams of annoyance on the other.  And in either case, you are attempting to make a sale of some kind.

What is Sales?

A good definition of selling might help.  Selling is the ability to influence others to cooperate with you to achieve your goals.  You only have two choices.  You can get key people to cooperate with you or you can simply cooperate with them.  You can be an agent of influence or you can be a recipient of influence.  You can be good at the business of influencing and persuading others people or you can be poor at it.  But in any case, you are in sales.

Fortunately, the basic principles of sales have been known for several thousands of years. A market transaction, from the earliest times, has been defined as a transaction where both parties feel that they gain by trading with the other.  Otherwise, if the market is free and open, one or both parties would not enter into the transaction.

When you go out into the marketplace to sell a product or service today, the case that you must make, is that your product or service will be of greater value or enjoyment to the customer than the money that the customer will have to acquire it.  Your product or service must also offer a greater benefit or value to the customer than an alternative use of the money.  This is where sales is absolutely essential to all transactions.

There are two major areas of your life where your ability to sell people on your ideas will determine your ultimate success or failure.  The first is when you work for a company.  The second is when you start your own business and become an entrepreneur.  I’ll talk about the selling skills you need in both cases, but let’s start with selling your ideas at your place of work.

What is the purpose of a business?  Many people would say that it is to make a profit.  However, the profit is merely the result of operating a business efficiently.  The real purpose of a business is to create and keep a customer.  Therefore, whenever you have an idea that can help your business to create and keep a business, or to operate more efficiently, you have a product idea that you need to sell.

Good Sales People Answer the Right Questions

The number one question in sales, asked by every customer is, “What’s in it for me?”  We say that every customer is tuned into his or her own favorite radio station “WII-FM,”  What’s in it for me?

People buy for their reasons, not your reasons.  Tony Alessandra’s Platinum Rule says that you must do unto others as they wish to be done unto, not as you wish to be done unto.  In sales, this simply means that you must sell unto others in terms of what they want and need, before you start talking about what you want and need.  The failure to understand this simple point is the reason why most sales people either underachieve or fail in the field of selling.  They are so caught up in what they are selling that they forget to take the necessary time to find out what it is that the person they are talking to might be buying.

The two major motivators of human action have always been the desire for gain and the fear of loss.  People buy a product, service or an idea based on their anticipation that they will be better off by following your recommendation than they would be if they did nothing at all.  People may also fear that they will lose substantially more than what you are selling will cost them to preserve their current situation.

In every case, you are selling an opportunity to achieve, avoid or preserve something,  If you are selling an investment account or idea, you are selling the customers hope that he or she will be better off and even financially independent in the future.  If you are selling life insurance you are appealing to the fear that his family or business will be left destitute or ruined should an accident occur.  In either case, you are appealing to the desire for gain or the fear of loss.

Influencing Key People and Increasing Buying Power

The bottom line of successful selling, which I have studied and practiced for thirty years, is that customers want to know what your ideas will do for them rather than what it is.  Experienced sales people, of all kinds, talk in terms of how their idea will benefit the customer in his or her current situation.  Inexperienced sales people talk about the features and the characteristics of their product or service, as if these had some kind of motive power.

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These results then serve as an inspiration to others to perform at equally exceptional levels. People ascribe leadership to those men and women who they feel can most enable them to achieve important goals or objectives.

Great Leaders: Why People Respect You

We develop great perceptions of those men and women we can count on to help us achieve what is important to us. Men and women who make great sales, or who establish admirable sales records, develop influence in the minds and hearts of their coworkers and superiors. They are spoken about in the most positive way.

The Halo Effect

Men and women who are responsible for companies or departments that achieve high levels of profitability also develop charisma and self confidence. They develop what is called the “halo effect.” They are perceived by others to be extraordinary men and women and great leaders who are capable of great things. Their shortcomings are often overlooked, while their strong points are overemphasized. Great leaders are charismatic and display self confidence.

Self Confidence: The Source of Charisma

Charisma actually comes from working on yourself. It comes from liking and accepting yourself unconditionally as you do and say the specific things that develop within you a powerful, charismatic personality.

Be Result Oriented and Purposeful

When you set clear goals and become result oriented and purposeful, backing those goals with unshakable self confidence, you develop charisma. When you are enthusiastic and excited about what you are doing, when you are totally committed to achieving something worthwhile, you radiate charisma and self confidence. When you take the time to study and become an expert at what you do, and then prepare thoroughly for any opportunity to use your knowledge, skill or experience, the perception that others have of you goes straight up.

Accept Complete Responsibility

When you take complete responsibility and accept ownership, without making excuses or blaming others, you experience a sense of control that leads to the personal power that is the foundation of charisma. When you look like a winner in every respect, when you have the kind of external image that others admire, you build your charisma. When you develop your character by setting high standards and then disciplining yourself to live consistent with the highest principles you know, you become the kind of person who is admired and respected everywhere. You become the kind of person who radiates charisma to others.

Focus on Results

Finally, when you concentrate your energies on achieving the results that you have been hired to accomplish, the results that others expect of you, you develop the reputation for performance and achievement that inevitably leads to the perception of charisma and self confidence.

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You can develop the kind of charisma that opens doors for you by going to work on yourself, consistently and persistently, and becoming the kind of person everyone can admire and look up to. That’s what charisma is all about.

Start Today

Here are two things you can do immediately to put these ideas into action.

First, ask yourself every day, “What is the one thing that I and only I can do, that if done well, will make a real difference to my company?” Whatever your answer, go to work on that.

Second, decide upon the most important results you can get for your company and make sure that you and everyone else is working on those results every hour of every day.

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Business Success Within the Business

Each unit is then managed as a separate business, with its own management structure, strategic plan, business goals, sales and revenue targets, levels of profitability, and key roles and responsibilities of the people within the unit.

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The starting point of implementing the SBU method is to make someone specifically responsible for the operations and the results of the unit. A competent person is put completely in charge of attaining a certain level of profitability and achieving set business goals exactly as if he or she were being made president of a separate business.

Basic Business Planning

To make the SBU approach work, you begin by drawing up a complete business plan for each unit. Each product or service within the unit must also have a complete business plan that includes estimated sales revenues, costs, profitability, and business goals. You then proceed to determine the exact people and resources that will be necessary to achieve the business goals of this SBU.

Make Someone Responsible: Management Structure

The primary reason that a product or service succeeds is that a competent person is completely responsible for it and is totally committed to its success.

A major reason for the failure of any product or service is that the responsibility for its success or failure is spread among several people, and no one is accountable. No person has a meaningful stake in the outcome.

The Cash Cow

The cash cow is defined as an established product or service that sells well and is a net contributor of cash to the business. It is not growing in sales and profitability nor is it declining. It is a mainstay of the company. It is a key to the company’s success. At one time it may have been the main product or service of the company, but now it is simply a dependable source of revenue.

Your strategy with your cash cow is to devote sufficient resources and people to them so that their ability to contribute sales and your business success extends as long as possible.

Dogs Drag You Down

An essential part of the SBU business plan is to not let the “dog” drag you down. The dog is a product or service that loses money and has no future in the marketplace of today or tomorrow. It seemed like a good idea at the time it was introduced. Sometimes a good deal of emotional investment and capital has been put into this product or service, but it is clear to almost everyone that it has no future.

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Be Ready for Your Opportunity

Even if a great business opportunity did come along, I wouldn’t have been able to do anything with it. As I began studying financial success and self-made millionaires, I noticed that almost everyone around me was in pretty much the same boat.

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The idea of becoming really wealthy was a distant dream with very little possibility of coming true. You may be in the same situation, with more bills than money or assets.

Look at the Numbers

The statistics are a little scary. Of 100 people who reach retirement age, according to insurance industry statistics, only one will be wealthy. Four out of the hundred will be financially independent; fifteen will have some savings put aside. And the other 80 will be dependent on pensions, still working or broke – this after a lifetime of well-paid work in the most affluent society in human history. Now why does this happen?

Why People Retire Poor

There are two main reasons why people retire poor. First, they never decide to retire rich. They wish and hope and pray, but they never make a firm, unequivocal decision that they’re going to do it. Second, even if they do decide to retire rich, they procrastinate until it’s too late. They always have some good reason for putting it off.

Start With Desire and Decision

If you sincerely want to beat the odds, to achieve financial independence and retire wealthy, there are four critical steps that you must take, all starting with the letter D. The first step is desire. You must want it badly enough to make an unshakable commitment and to be willing to make sacrifices. The second D is decision. You must make a decision right now to do whatever is necessary, to be willing to pay any price, go any distance, to achieve your goal.

Practice Determination and Discipline for Financial Success

The third D is determination, which is to keep at it until you succeed in spite of all the problems and obstacles you will experience. And the fourth D is discipline – the discipline to master yourself to develop the habits necessary for achieving financial independence. Those are the four Ds. Desire, Decision, Determination and Discipline. And you can measure how successful you’re going to be in the future by measuring how well you&’re doing in each of those on a scale of one to ten.

Where to Start: Become Financially Independent

Here are two things you can do immediately to put these ideas into action:

First, make a decision, right now, that you are going to be financially independent, no matter what obstacles you face in the short term. Then write it down, make a plan and start to work on it every single day.

Second, resolve in advance that you will persist in the face of every setback or obstacle you face. You will never give up. You will keep on moving forward until you finally achieve your goal.

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Personal Management and Self Discipline

The quality that I am talking about is the quality of self discipline.  It is a habit, a practice, a philosophy and a way of living.  All successful men and women are highly disciplined in the important work that they do.  All unsuccessful men and women are undisciplined and unable to control their behaviors and their appetites.  And when you develop the same levels of high, personal discipline possessed by the most successful people in our society, you will very soon begin to achieve the same results that they do.

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All great success in life is preceded by long, sustained periods of focused effort on a single goal, the most important goal, with the determination to stay with it until it is complete.  Throughout history, we find that every man or woman who achieved anything lasting and worthwhile, had engaged in long, often unappreciated hours, weeks, months and even years of concentrated, disciplined work, in a particular direction.  Fortunately the quality of self discipline is something that you can learn by continuous practice, over and over, until you master it.  Once you have mastered the ability to delay gratification, the ability to discipline yourself to keep your attention focused on the most important task in front of you, there is virtually no goal that you cannot accomplish and no task that you cannot complete.

The Qualities of Successful People

I have studied successful men and women for more than 30 years.  In the simplest of terms, successful men and women are those who work almost all the time on high value tasks.  Unsuccessful men and women are those who waste their time by wasting the minutes and hours of each day on low value activities.

You see, there is a “crowding out” principle in time and personal management.  It simply says that, if you spend all of your time on highly productive tasks, by the end of the day, you will have “crowded out” all the unproductive activities that might have distracted you from your real work.  On the other hand, if you spend your time on low value activities, those low value activities will crowd out the time that you need to complete the tasks that can make all the difference in your life.  And the key to this attitude toward time and personal management is always self discipline.

There are several disciplines that you need to develop if you want to achieve your full potential.  The first of these is the discipline of goals.  This means that you sit down with a pad of paper, a pen and ample time.  You think through and then make a written list of all the things you want to accomplish in the next one, two, three, four and five years.  You organize the list into the various areas of your life; your career, your money, your family, your health and the other parts that are important to you.  You set priorities among your goals and re-write your lists so that your most important goals are at the top.  You then take a separate sheet of paper and you make a list of all the things that you can think of doing, right now, to move you toward the attainment of your most important goals.

Fully 97% of adult Americans are trying to live their lives without clear, specific, written goals.  This is the same as setting off across an unknown country without a roadmap.  You may get somewhere eventually, but it will take you much longer, and it is far more likely that you will get lost, and waste an enormous amount of time, than if you planned your trip carefully, with a roadmap, and full information about the future terrain, before you started out.

Successful People Complete High Value Tasks First

The second discipline you need to develop for success is the discipline of planning.  Many people think that they are too busy to plan.  Or they don’t give themselves enough time to plan.  But our studies show that you will save ten minutes in execution for every minute that you invest in planning.  You will get a 1000% return on your time investment by taking the time to think through, in advance, what you are going to do in the hours and days ahead.

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The Easiest Way for Personal Power

The first need that each person has is for acceptance. Acceptance is the basis of personal power. Whenever you express unconditional acceptance of another person, his or her self esteem goes up. The person feels valuable and important as a unique and special individual.

An Attitude of Gratitude: Make Others Feel Good

The need for appreciation and to feel good is a deep subconscious desire of every person you meet. When you satisfy this need, you will become one of the most popular people in your world. And what is the key to expressing gratitude and appreciation? Simple. Just say, “thank you” on every occasion.

The Deepest Craving of All

Perhaps the deepest emotional need that people have is the desire for praise and approval. Each person is deeply affected by the quality and quantity of approval they get from others, especially others who they respect very much.

Build Self Esteem By Looking Good

Another way to build self esteem in others, and to make them feel important, is to express admiration on every occasion. Make it a policy to admire people for their accomplishments, behaviors, possessions, and personality traits.

Practice “White Magic”

This means practice listening closely to others when they are talking. It is one of the most powerful self esteem building behaviors of all. Whenever you listen attentively to another, their heart rate speeds up.

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They feel happier and more valuable. They like and respect you more as a result. The more you listen closely to another person, the more that person feels that you are important and valuable as well.

Four Keys to Listening

The keys to effective listening are simple. First, listen attentively, without interrupting. Second, pause before replying. Don’t rush in with whatever is on your mind. Third, questions for clarification by asking, “how do you mean?” Finally, feed it back in your own words.

Respect Yourself and Others

As Aristotle said, “Man is a social animal.” We live our lives within the context of our relationships with others. The more and better relationships we have, the happier and busier we are. The more you stay involved with other people, the more you will respect yourself, the longer you will live, and the more enjoyable will be those years.

Take Action Today

Pick out the person that you like the least that you deal with on a day to day basis. Next time you see that person admire something about them. You can comment on their dress, grooming, work or even their possessions. You will be surprised how differently that person will react to you in the future.

The fact is that objections are good. Objections indicate interest. Successful sales have twice as many objections as unsuccessful sales.

To handle objections effectively, you should hear them out completely, without interrupting. Remember, listening builds trust, even with objections. Compliment the objection by saying, “That’s a good question! Let me see if I can answer it for you.”

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Here are three responses you can use to any objection. First, you can pause, smile and then ask, “How do you mean?” This question is almost impossible not to answer. You can use it over and over again. “How do you mean?” Or, “How do you mean, exactly?”

Another response to an objection can be, “Obviously you have a good reason for saying that, do you mind if I ask what it is?” Often the customer does not have a good reason for objecting and this will help to clarify that.

The third way you can handle objections is by using the “Feel, Felt, Found” method. When a customer says something like, “It costs too much,” you can say, “I understand exactly how you feel. Others felt the same way when they first heard the price. But this is what they found when they began using our product or service.” You then go on to explain that the benefits to the customer are greatly in excess of the added cost that the customer has to pay.

One final point with regard to objections. Fully 94% of sales in America are made on a non-price basis. Virtually every objection on the basis of price is made for a reason other than price. Your job is to find the real reason.

Know Closing Techniques

Your ability to ask for the order at the end of the sales presentation or at the end of the sales process is absolutely essential to your success. Fortunately, tens of thousands of sales conversations have been video taped and we now know exactly how the highest paid salespeople close sales, most of the time.

There are three methods you can use. Before you close the sale, you ask this question, “Do you have any questions or concerns that I haven’t covered so far?” If the customer says, “No,” you can then lean forward and confidently ask for the buying decision. The first way to ask for the buying decision is the simplest of all. You say, “Well then, why don’t you give it a try?” This is one of the disarmingly effective closing techniques. Or you can say, “Why don’t you give us a try?” Or you can even say, “Why don’t you take it?” You then reinforce this by adding the words, “And I’ll take care of all the details.” Often a customer didn’t know how much he or she wanted it until you offered to take care of all the details.

The second technique you can use is called the “Directive Close.” You use these words, “Well then, the next step is this.” You then go on to describe the plan of action and wrap up the sale just as if the person had said, “I’ll take it!” You will also add the words, “And I’ll take care of all the details.” This is one of the most popular closing techniques used by the highest paid salespeople in every industry.

Another one of the popular closing techniques is called the “Authorization Close.” At the end of the sales conversation, you take your order form, place a check mark by the signature line, push the order form across the desk and say these words, “Well then, if you’ll just authorize this, we’ll get started right away!”

Sometimes the customer didn’t know how badly he or she wanted it until you offered to get started, “right away.”

Remember, the future belongs to the “Askers.” The future belongs to people who ask for appointments, ask for information and ask for the order. Never be afraid to ask for what you want. This is the key to making sales.

Make Every Minute Count

Your most precious resource is your time. It is all you have to sell. In fact, your entire life style today, your home, your car, your bank account, and so on are the result of how you have traded your time in the past.

The very best use of your time is to increase your earning ability. It is to get better in your key result areas.

You should pay any price, make any sacrifice and overcome any obstacle to become absolutely excellent in selling, to increase your earning ability so that you can enjoy a wonderful standard of living year after year.

The Sales Process: 80/20 Rule

The 80/20 Rule says that 20% of your activities will account for 80% of your results. 20% of your prospects will account for 80% of your customers. 20% of your customers will account for 80% of your sales. 20% of your products and services will account for 80% your sales volume, and so on. In its simplest terms, you must always be focusing your time and energy on the few things, the 20% of things, that can make all the difference in your life. Your ability to do this will guarantee that you will be a big success. The inability to focus on the top 20% is the primary reason for failure, frustration and under achievement in the sales profession.

Make a list every day, before you begin work. Organize your list on the basis of the 80/20 Rule. Start on your top 20% of tasks and stay with them until they are complete.

Your Sales funnel

There are three parts to professional selling. They have been the same throughout all the ages of man. They are to prospect, present and follow up. These three parts constitute the sales funnel.

At the top of the sales funnel you have prospects. Let us say that you have to prospect 20 people to get five presentations. In the middle of the sales funnel you have presenting. Let us say that you have to make five presentations to get two follow-ups. At the bottom of the sales funnel you have following up and closing. Let us say that you have to follow up with two prospects to get one sale.

Spend 80% of your time prospecting and presenting and spend only 20% of your time following up. And don’t mix them up. You should have far more prospects in your funnel than you have time to see if you work all day long. Never allow yourself to run out of prospects. Keep your sales funnel full. Remember, you have to go through a lot of prospects to get a very few sales.

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Men and women who possess the kind of charisma that arouses the enthusiastic support of others are invariably men and women with high values and principles. They are extremely realistic and honest with themselves and others. They have very clear ideals, and they continually aspire to live up to the highest that is in them. They speak well of people, and they guard their conversation, knowing that everything that they say is being remembered and recorded. They are aware that everything they do is contributing to the formation of their perception by others. Everything about their character is adding to or detracting from their level of personal power.

Leaders have High Expectations

When you think of the most important men and women of any time, you think of men and women who aspired to greatness and who had high values for themselves and high expectations of others. When you make the decision to act consistent with the highest principles that you know, you begin to enhance your personal power. You begin to become the kind of person others admire and respect and want to emulate. You begin to attract into your life the help and support and encouragement of the kind of people you admire. You activate the law of attraction in the very best way.

Self Discipline

The second quality of leadership is self discipline, or self-mastery. Men and women of quality are highly self-controlled. They have a tremendous sense of inner calm and outer resolve. They are well-organized, and they demonstrate willpower and determination in everything they do.

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The very act of being well-organized, of having clear objectives and of having set clear priorities on your activities before beginning, gives you a sense of discipline and control. It causes people to respect and admire you. When you then exert your self discipline by persisting in the face of difficulties, your influence on others increases.

Personal Power

Men and women who achieve leadership positions, who display what others refer to as personal power, are invariably those who possess indomitable willpower and the ability to persist in a good cause until success is achieved. The more you persist when the going gets rough, the more self discipline and resolve you develop, and the more influence you tend to have.

Now, here are two things you can do immediately to put these ideas into action.

First, clarify your values and beliefs for yourself. Decide exactly what it is that you stand for, and what you will not stand for. Be definite about who you are and refuse to compromise.

Second, resolve in advance to discipline yourself to do what you say you will do, when you say you will do it, whether you feel like it or not. Force yourself to persist until you succeed.

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Become a Great Leader

All business success begins with a great leader who has the vision and courage to imagine a new product, service or enterprise and then to pull together the people and resources to make it a reality.

Develop a Successful Business Plan

Successful businesses develop and work from written business plans.  They carefully analyze every detail in advance.  They do not rely on luck or chance.  They plan their work and work their plan.

Offer a Great Product or Service

The excellence, appropriateness and price of your product or service accounts for 90% of business success in the first place.  This is the key focus of businesses that thrive and grow in any market.

Surround Yourself with Great People

The best businesses have the best people at every level.  Your ability to attract, recruit, manage and motivate top people is the key to making your business successful.

Create a Great Marketing Plan

Learn how to differentiate your product and service from competitors, attract more qualified prospects, emphasize your “Unique Selling Proposition,” and grow your market faster than your competitors.

Business Success: Generate Great Numbers

Select the key numbers that best measure the success of every part of your business; number of sales, size of sales, frequency of sales, profitability of sales, costs of sales, growth of sales – focus continually on improving those numbers.

Staff You Company with Great Managers

The best companies have the best managers.  Learn how to interview, select, assign, manage and monitor the key people who make the day to day decisions that determine the success of your business.

Perfect a Great Sales Process

Learn how to consistently convert prospects into customers.  Select from and manage excellent sales people at every level who can convince skeptical prospects to buy your product or service rather than any other.

Create a Great Customer Experience:

Develop a customer service strategy that is so effective that people buy from you, buy again and tell their friends.  Differentiate yourself from your competitors by taking better care of your customers than anyone else.

Live a Great Life

Keep your life in balance by taking time for your family, fitness and personal activities.  Set clear goals for every part of your life and then work on these goals in addition to building a great business.

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These are the most important 10 principles ever discovered for building a successful business.  One change in any area can lead to a transformation in the financial results of the enterprise.

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